The S&P 500 posted another monthly gain in July, stringing together the third-straight monthly gain. And some stocks scored impressive gains.
If you invested $10,000 in January in the top-performing stock in the S&P 500 at the time and reinvested that in each month's top performer, including Generac Holdings in July, you'd have $89,270 now, says an Investor's Business Daily analysis of data from S&P Global Market Intelligence and MarketSurge.
That's an impressive seven-month gain of 800%. It's quite a feat given the S&P itself is up just 7.8% so far this year. The same $10,000 invested in the S&P 500 would be worth just $10,780 now. That's a gain of $780. The S&P 500 rose 2.2% in July, making it the fourth positive month this year since January.
Will The S&P 500 Sink In August?
Hindsight is 20-20. And, clearly, few if any investors could have picked the top stock in each of the past seven months, as it's not a repeatable strategy. But the staggering numbers this year remind investors that amazing gains can be scooped up by diligent investors who keep buy lists handy for big leaders when the S&P 500 starts to hit highs.
In fact, in the third-straight month of gains, the S&P 500 offered many ways to make money. Nearly 66% of the stocks in the S&P 500 rose during July. And of those, 17 stocks jumped more than 20% in just one month.
Top S&P 500 Stock Of July: Generac
The S&P 500 itself was so strong in July that competition to be No. 1 was fierce. Generac was well positioned. The company makes power-saving generators. Shares surged 35.9% during the month.
It marked the first month this year with an industrial stock on top of the S&P 500. Last month Coinbase Global was the top stock with a 42% rally.
Analysts think the company's earnings per share will rise 4% in 2025. And profit is seen rising 15% in 2026. This is not the time to buy the stock, though. The RS Rating is 90 and EPS Rating is 80. But the stock is also well extended past its 200-day moving average.
The rest of the top 10 S&P 500 stocks in the seventh month of the year including many tech stocks. Advanced Micro Devices shares gained 24% in July, putting them up 45% for the year. Synopsys is also continuing to bounce. Shares of the semiconductor equipment maker rose 24% in July.
What's Coming Next For The S&P 500?
The big question, though, is: Will the S&P 500's winning ways continue in August? Historically, the odds look so-so. Many investors like to sell in May and stay away.
August ranks tenth of all 12 months for S&P 500 performance going back to 1950, says the "Stock Trader's Almanac." The S&P 500 rises 0.01% in August on average. Investors also have the risk of tariffs along with layoffs to contend with.
Following three solid months for the S&P 500, investors hope for more gains. But it's unclear if they'll get more.
How To Turn $10,000 Into $89,270 In 7 Months
| Month | Top S&P 500 stock | Symbol | Monthly gain | Sector | S&P 500 monthly ch. | Starting balance | Cumulative value of $10,000 investment in January reinvested in best stock each month |
|---|---|---|---|---|---|---|---|
| January | Constellation Energy | CEG | 34.1% | Utilities | 2.7% | $10,000 | $13,410 |
| February | Super Micro Computer | SMCI | 45.40% | Information Technology | -1.4% | $13,410 | $19,498 |
| March | Dollar General | DG | 18.5% | Consumer Staples | -5.8% | $19,498 | $23,105 |
| April | Palantir Technologies | PLTR | 40.3% | Information Technology | -0.8% | $23,105 | $32,417 |
| May | NRG Energy | NRG | 42.3% | Utilities | 6.2% | $32,417 | $46,129 |
| June | Coinbase Global | COIN | 42.4% | Financials | 5.0% | $46,129 | $65,688 |
| July | Generac Holdings | GNRC | 35.9% | Industrials | 2.2% | $65,688 | $89,270 |
